Dmitriy Chernovolov, Technical Analyst who has been actively following the FX markets for the last 11 years. He uses a systematic trend following approach combined with a proven money management system. Dima prefers to combine multiple technical analysis tools (e.g. Fibonacci retracements, trendlines, indicator divergences, Japanese candlesticks, Elliott Waves as well as horizontal support and resistance levels on different time-frame charts) to identify high probability synergetic trade setups with a high reward/risk ratio.

EUR/JPY: sell targets - 122.00 and 121.00

By: Dmitriy Chernovolov

EUR/JPY reached sell target 126.00

Next sell targets - 122.00 and 121.00

EUR/JPY has been under strong bearish pressure lately – following the earlier breakout of the support zone lying between the support level 126.00 (previous sell target set in our earlier forecast for this currency pair) and the lower support trendline of the wide daily down channel from last June, as can be seen below. The breakout of this support zone greatly accelerated the active impulse waves 5 and (3).

EUR/JPY is set to fall further to the next sell target at the support levels 122.00 and 121.00 (target price calculated for the completion of the active impulse wave (3)).